Realty developer Shriram Properties has filed its draft red herring prospectus (DRHP) with the market regulator Securities & Exchange Board of India (Sebi) to raise up to Rs 800 crore through an initial public offer (IPO).

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The share sale will come at a time when the IPO of Macrotech Developers Ltd, which operates under the Lodha brand, has garnered strong investor interest. It is looking to raise up to Rs 2,500 crore through IPO, which closed on Friday.

The IPO will include a fresh issue of shares worth Rs 250 crore and an offer for sale of up to Rs 550 crore by the existing shareholders and promoters.

Shriram Properties proposes to utilise the net proceeds from the fresh issue towards repayment and/or pre-payment of debt and general corporate purposes, said the company.

It added that it will not receive any proceeds from the offer for sale.

As per the DHRP, the Bangalore-based firm has proposed partial exits to its four existing investors - TPG Capital, Tata Capital, Walton Street Capital and Starwood Capital. These four shareholders together hold around 58 percent stake in the company.

In offer for sale, each of the selling shareholders will be entitled to their respective portion of the proceeds from the offer for sale in the proportion of the shares offered by them, added to the prospectus.

According to PTI, sources had earlier said that the company expects to get the Sebi nod next month, and thereafter it will hit the capital market with the proposed IPO.

The company has a major presence in South India. It has completed various real estate projects and many projects are under construction. The developer, which focuses on affordable and mid-income housing projects, mainly in southern India, saw sales recover to pre-covid levels in the December quarter.